Colorado consumers have received more than $425 million in mortgage relief through June 30th under the National Mortgage Settlement, an agreement designed to compensate borrowers who have lost their home to foreclosure and provide financial assistance to current underwater homeowners.
“I am very pleased with the total amount of relief that has been delivered to homeowners during the 16 months these programs were offered under the settlement,” Colorado Attorney General Suthers said. “It was initially estimated that up to $32 billion in total relief would be delivered to homeowners in need of assistance. The final results exceed all expectations that we had at the outset of this historic settlement. It’s good news for homeowners trying to save their homes and has gone some distance in stabilizing our housing market.”
How Do Borrowers Know If They’re Eligible?
A. Former Homeowners
The National Mortgage Settlement administrator is currently working with lenders to identify homeowners whose homes were foreclosed between January 1, 2008 and December 31, 2011. If you have questions about the authenticity of correspondence you receive referencing the Settlement, check for details on the Settlement program’s website.
B. Current Homeowners
To be eligible for the loan modification or foreclosure alternative options under the National Mortgage Settlement, the borrower’s loan on their primary residence must be held by one of the five participating lenders:
1. Ally/GMAC: 800.766.4622
2. Bank of America: 866.272.4749
3. Citi: 866.272.4749
4. JPMorgan Chase: 866.372.6901
5. Wells Fargo: 800.288.3212
In summary, the National Mortgage Settlement will result in some financial compensation and relief for both former and current Colorado homeowners. Individuals who lost their home to foreclosure are likely to receive some amount of compensation, while current owners will be given the opportunity to modify their loan or sell the property via short sale on favorable terms.
Alaris helps you avoid foreclosure.